TAMPA, Fla. – GTE FCU is closing three of its branches, as it works to weather the state’s economic downturn.
The $1.9 billion credit union, which reported a $27.9 million mid-year loss, notified members it is closing permanently branches in the Florida communities of Jasper, White Springs and Lake City. The notification cited the current economic downturn was cited as the reason for the closures, scheduled to take effect Sept. 15.
The move will leave GTE with a total of 35 branches, including 32 in Florida, two in Louisiana and one in Maine.
A credit union representative did not return a phone call seeking comment.
Separately, GTE FCU broke ground yesterday on a project to build a branch in the underserved section of downtown St. Petersburg. According to the contract with the city, GTE must build a 3,000-square foot branch and remain in business on the site for 50 years before the city hands over the deed. If GTE pulls out before 30 years, it must pay $700,000, what the city paid for a strip that included homes, a gas station and pool hall years ago. If GTE leaves in 40 years, it pays the city $350,000.
